Volkswagen Group’s Q1 2016 revenues were down 3.4% on the previous year as the emissions scandal continued to hit vehicle registrations.

In the UK, for example, Q1 registrations of Volkswagen passenger cars were down 4.9% to 57,443, while Seat saw a 5.4% drop to 13,390.

Audi, however, was up 5.5% to 47,830, and Skoda rose 9% to 20,422.

The group said the decline in revenues, to £39 billion, was also down to negative exchange rate effects.

“In light of the wide range of challenges we are currently facing, we are satisfied overall with the start we have made to what will undoubtedly be a demanding fiscal year 2016,” said Matthias Müller, chairman of the board of management of Volkswagen Aktiengesellschaft.

“In the first quarter, we once again managed to limit the economic effects of the diesel issue and achieve respectable results under difficult conditions.

“This shows that, with its portfolio of strong brands and its good position in many global automotive markets, the Volkswagen Group sits on very robust foundations.

“We can build on these when we now work towards modernising our group and positioning it for the new world of mobility.”

Groupwide, the Volkswagen passenger cars brand recorded a year-on-year decline in volumes and sales revenue in the first three months of the current fiscal year.

As a result, its operating profit before special items fell from to £56 million from £392m, while its operating margin was 0.3% in the first quarter.

At £1 billion, Audi’s operating profit before special items was almost on a level with the previous year (£1.1bn).

Exchange rate effects and continuing high upfront expenditures for new products and technologies and for the expansion of the international production network had a negative impact on earnings.

With sales revenue almost stable, the operating margin declined slightly to 9.0% (9.7%), although it remained at a high level.

In the first three months of 2016, Škoda saw operating  profit rise by just over 30% to £240m. Sales revenue rose significantly, and the operating margin grew to 9.3% (7.6%).

Seat improved its operating profit to £41m from £25m on the back of cost optimisation measures. This corresponds to 2.6% growth in its operating margin.

Operating profit at Volkswagen Commercial Vehicles declined to £108m from £126m on the back of lower volumes.